Identifier
Created
Classification
Origin
06TOKYO6638
2006-11-21 01:08:00
UNCLASSIFIED
Embassy Tokyo
Cable title:  

JAPANESE MORNING PRESS HIGHLIGHTS 11/21/06

Tags:  OIIP KMDR KPAO PGOV PINR ECON ELAB JA 
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UNCLAS SECTION 01 OF 12 TOKYO 006638 

SIPDIS

SIPDIS

DEPT FOR E, P, EB, EAP/J, EAP/P, EAP/PD, PA;
WHITE HOUSE/NSC/NEC; JUSTICE FOR STU CHEMTOB IN ANTI-TRUST DIVISION;
TREASURY/OASIA/IMI/JAPAN; DEPT PASS USTR/PUBLIC AFFAIRS OFFICE;
SECDEF FOR JCS-J-5/JAPAN,
DASD/ISA/EAPR/JAPAN; DEPT PASS ELECTRONICALLY TO USDA
FAS/ITP FOR SCHROETER; PACOM HONOLULU FOR PUBLIC DIPLOMACY ADVISOR;
CINCPAC FLT/PA/ COMNAVFORJAPAN/PA.

E.O. 12958: N/A
TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA

SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 11/21/06


Index:
UNCLAS SECTION 01 OF 12 TOKYO 006638

SIPDIS

SIPDIS

DEPT FOR E, P, EB, EAP/J, EAP/P, EAP/PD, PA;
WHITE HOUSE/NSC/NEC; JUSTICE FOR STU CHEMTOB IN ANTI-TRUST DIVISION;
TREASURY/OASIA/IMI/JAPAN; DEPT PASS USTR/PUBLIC AFFAIRS OFFICE;
SECDEF FOR JCS-J-5/JAPAN,
DASD/ISA/EAPR/JAPAN; DEPT PASS ELECTRONICALLY TO USDA
FAS/ITP FOR SCHROETER; PACOM HONOLULU FOR PUBLIC DIPLOMACY ADVISOR;
CINCPAC FLT/PA/ COMNAVFORJAPAN/PA.

E.O. 12958: N/A
TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA

SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 11/21/06


Index:

1) Top headlines
2) Editorials
3) Prime Minister's daily schedule

Abe diplomacy:
4) Prime Minister Abe in Hanoi stresses need to restart 6-party
talks on North Korea and "correct action" from that country
5) Text of Prime Minister's press conference at the close of APEC in
Hanoi
6) Business leaders accompanied Abe to Hanoi to launch
"government-private sector diplomacy"

Defense issues:
7) Yomiuri poll: 80% of public back three no-nuclear principles, but
public split on issue of debating possession of nuclear weapons
8) Chief Cabinet Secretary Shiozaki: Government to review Fukuda
statement on not allowing Japan to use MD in connection with
collective self-defense
9) JDA chief Kyuma reluctant to consider changes in runway plan for
Camp Schwab shore area
10) Kyuma to meet with local representatives in Okinawa later this
month
11) Government-prefectural council in Okinawa to restart next month
but fate of current Futenma relocation plan unclear
12) Futenma relocation: Gov't mulling local development measures

Aftermath of Okinawa gubernatorial election:
13) Government eyes submission of US FORCE realignment bills to
regular Diet session next year, taking Nakaima victory in Okinawa
gubernatorial election as good chance
14) Ruling camp's candidate Nakaima, who won Okinawa governorship,
even took towns that house US bases
15) Only one out of every ten eligible voters voted absentee and
mostly went for Nakaima for Okinawa governor
16) Minshuto (Democratic Party of Japan),stung by candidate's loss
of Okinawa race, ends Diet boycott, but some members blame Ozawa' s
methods for loss
17) Diet session to normalize tomorrow with chastened Minshuto's
return to deliberations

Articles:

1) TOP HEADLINES

Asahi & Tokyo Shimbun:
Keio University, Kyoritsu University of Pharmacy to merge in the
form of establishing faculty of pharmacy in Keio University

Mainichi:
Miyazaki governor suspected of bribery via bid collusion; Police
investigation to start

Yomiuri:
Ministry of Health, Labor and Welfare to conduct in next fiscal year
a follow-up survey of 2,000 test-tube babies from birth to
elementary school

Nihon Keizai:
Chubu Electric Power will buy electricity from Osaka Gas in effort

to secure a stable supplier

TOKYO 00006638 002 OF 012



Sankei:
Lay-judge system: The question of establishing a "partial verdict
system" being considered by Legislative Council

Tokyo Shimbun:
Osaka labor committee orders Victor to respond to collective
bargaining with individual contractors, noting, "Individual
contractors are workers of the company"

2) EDITORIALS

Asahi:
(1) Japan-China relations: It's important to maintain positive
momentum
(2) Revisions to Labor Law: Unpaid overtime must be eliminated

Mainichi:
(1) Recognition as abductee: Every effort should be made to see
whether Matsumoto is alive
(2) Reducing government bond issues: Need to set 20-trillion-yen
target quickly

Yomiuri:
(1) Return to Diet deliberations: Minshuto chastened?
(2) Extension of copyright protection: Ideas necessary to avoid
hampering distribution

Nihon Keizai:
(1) Tax on reserves must be abolished
(2) Industrialized nations must take the lead in stopping global
warming

Sankei:
(1) Banks' positive earnings: Too early for high praise
(2) Expansion of agricultural imports: No future in protection
alone

Tokyo Shimbun:
(1) Recognition of new abductee: Likely more than 17 abductees
(2) Revenue for road construction should be put in general account
budget as part of fiscal reform

Akahata:
Japan-US summit: Strengthening the military will not contribute to
peace

3) Prime Minister's Official Residence (Kantei)

Prime Minister's schedule, November 20

NIHON KEIZAI (Page 2) (Full)
November 21, 2006

(Local time)
Morning Laid a wreath at the Ho Chi Minh Mausoleum in Hanoi. Made
courtesy calls on Vietnamese President Nguyen Minh Triet and Vietnam
Communist Party Secretary General Nong Duc Manh. Attended a meeting
of Japanese business leaders, including Japan Business Federation
Chairman Mitarai, and Vietnamese economic ministers at Melia Hotel.
Held a press conference in Hanoi Tower.
Afternoon Hosted a reception at Melia Hotel. Visited Thang Long

TOKYO 00006638 003 OF 012


Industrial Park. Departed from Hanoi airport on a government plane.

(Japan time)
21:39
Arrived at Haneda Airport.

22:17
Arrived at his private residence in Tomigaya.

4) Prime Minister Abe: North Korea should take concrete steps to
abandon its nuclear programs

ASAHI (Page 4) (Full)
November 21, 2006

Takehiko Yabe, Hanoi

Referring to the six-party talks to be resumed next month at a press
conference in Hanoi on the morning of Nov. 20 (on the afternoon same
day, Japan time),Prime Minister Shinzo Abe revealed his intention
that Japan along with the United States and other members of the
six-party talks would urge North Korea to abandon its nuclear
programs. He stated: "Resuming the six-party talks is not the goal.
North Korea needs to take concrete steps to give up its nuclear
weapons. The North must respond sincerely."

Regarding specifics, Abe said:

"I exchanged views with the leaders of the United States, South
Korea, and China. I want to refrain from referring to the contents
of the summits. Japan, the US, and South Korea were able to
coordinate differences in views."

As to the issue of abductions of Japanese nationals, the prime
minister stated:

"I emphasized the importance of resolving the abduction issue as
early as possible. US President Bush and leaders of other nations
expressed their support for my view. I think various counties have
deepened their understanding of the issue and increased their
understanding for Japan's position."

Referring also to calls for a nuclear option for Japan, Abe stated:

"Our country is the only country that has suffered from nuclear
bombs. Japan must lead the drive to eliminate nuclear weapons from
the world. We have abandoned a nuclear option. The formal
organizations in the government and the Liberal Democratic Party
will never debate whether Japan should possess nuclear weapons."

5) Main points of Prime Minister Abe's press briefing

SANKEI (Page 5) (Full)
November 21, 2006

Jiji

The following are the main points of Prime Minister Shinzo Abe's
remarks made during a press conference yesterday.

North Korean nuclear issue


TOKYO 00006638 004 OF 012


It is very significant that the Asia-Pacific Economic Cooperation
(APEC) summit conference chairman issued an oral statement
expressing strong concern over North Korea's nuclear test. North
Korea needs to heed objections from the international community with
sincerity and respond to them faithfully.

The six-party talks, once they are resumed, need to achieve specific
results leading up to denuclearization of the Korean Peninsula.
Japan, the United States, and South Korea in our summit talks were
able to coordinate views (on how to respond to North Korea) to a
considerable extent. Japan and China, as well, in our summit
meeting, coordinated views considerably. In the sense of aiming at
denuclearizing the Korean Peninsula, China's position is the same as
ours.

Abduction issue

The abduction is gravely important. I emphasized the need to resolve
the issue as quickly as possible through international cooperation.
US President Bush and other countries' leaders stated their support
for our position. I believe firmly that Japan's position has now
been understood and supported more widely.

Nuclear-arms debate in Japan

(Japan) must lead the movement for the elimination of nuclear
weapons from the world. We have renounced the choice of nuclear
possession. No nuclear-arms debate will be held in any official
arenas in the government and the Liberal Democratic Party.

6) Business leaders accompany Abe to Vietnam; Public-private
diplomacy launched

NIHON KEIZAI (Page 5) (Excerpts)
November 21, 2006

Nippon Keidanren (Japan Business Federation) dispatched more than
130 members to Vietnam on Nov. 19-20 in conjunction with Prime
Minister Shinzo Abe's official visit to that country. In many
European countries, the government and business circles have made
joint efforts to boost domestic businesses. Japan has also launched
a public-private diplomatic approach for the first time. The next
challenge for Japan is how to take this approach to such big markets
as China and India.

During a seminar for companies sponsored jointly by the Vietnamese
Planning and Investment Ministry and Nippon Keidanren, Vietnamese
Prime Minister Nguyen Tan Dung welcomed Keidanren members' visit to
his country, saying, "I highly appreciate Japanese companies'
interest in investment in Vietnam." In response, Abe proudly said,
"The visit by more than 130 business leaders represents an eagerness
to strengthen relations between Japan and Vietnam."

The plan for a visit to Vietnam by business leaders cropped up
during a welcome party for the visiting Dung on the night of Oct.

19. Chief Cabinet Secretary Yasuhisa Shiozaki conveyed to Keidanren
Chairman Fujio Mitarai Prime Minister Abe's desire to have business
leaders accompany him to Vietnam. Mitarai immediately took action
and formed a delegation of representatives from about 60 companies.
The delegation arrived in Hanoi by charter flight.

When European leaders visit foreign countries, they often bring

TOKYO 00006638 005 OF 012


business leaders with them. In many cases, business leaders
accompanying state heads successfully arrange deals for large-scale
projects, such as railway construction or sale of aircraft. When
leaders from France, Germany, and other countries visited China,
they received orders for large projects. Sumitomo Corporation
Chairman Kenji Miyahara said, "Japan also should take a step
forward."

In this sense, the visit to Vietnam provided a good opportunity for
Prime Minister Abe to make an appeal. The Canon plant that Abe
visited on the afternoon of Nov. 20 exports printers and other
products. The ratio of exports by Japanese manufactures in Vietnam
account for 2.3% of Vietnamese total exports.

7) Poll: 80% support 3 nonnuclear principles; Public opinion split
over nukes debate

YOMIURI (Page 2) (Full)
November 21, 2006

The Yomiuri Shimbun conducted a face-to-face nationwide public
opinion survey on Nov. 11-12, in which respondents were asked if
Japan should keep up its self-imposed three nonnuclear principles of
not producing, possessing or allowing nuclear weapons into the
country. In response to this question, a total of 80% answered
"yes," including "yes to a certain degree." Meanwhile, a total of
18% would not mind if Japan changed the triple nonnuclear policy.

In the wake of North Korea's nuclear test, some in the government
and the ruling Liberal Democratic Party are saying Japan may debate
whether it should go nuclear. Asked whether they support this
argument, public opinion was spilt, with "no" totaling 51% and "yes"
accounting for 46%.

Broken down by gender, affirmative answers outnumbered negative ones
among males, respectively accounting for 52% and 46%. Among females,
negative answers topped affirmative ones at 56% and 40%.

Among LDP supporters, "yes" totaled 51%, with "no" accounting for
46%. Among those who support the leading opposition Democratic Party
of Japan (Minshuto),however, "no" totaled 56%, with "yes" reaching
42%.

The six-party talks over the North Korean nuclear issue are expected
to resume. In the survey, respondents were asked if they could
expect the issue of North Korea's nuclear development to be
resolved. In response, "no" accounted for 74%, with "yes" at 20%.

8) Gov't may change Fukuda doctrine over collective self-defense:
Shiozaki

YOMIURI (Page 2) (Abridged)
November 21, 2006

Chief Cabinet Secretary Shiozaki, meeting the press yesterday,
indicated that the government could review a statement released in
December 2003 by Chief Cabinet Secretary Fukuda over missile
defense. In connection with case studies regarding collective
self-defense, Fukuda stated that Japan would limit its missile
defense to defensive purposes only.

"We're going to discuss what the (Fukuda) statement really means,"

TOKYO 00006638 006 OF 012


Shiozaki said. "Whether to review the statement depends on the
outcome of discussions," he added. With this, he suggested the need
for the government to study whether Japan would be allowed to
intercept missiles launched at the United States.

The government, in its conventional constitutional reading, takes
the position that intercepting missiles launched at other countries
could fall under the category of collective self-defense. When the
government made a formal decision to introduce a missile defense
system, Fukuda negated Japan's participation in collective
self-defense, stating that Japan's missile defense system is
intended to defend Japan and will not be used to defend third
countries.

9) Futenma relocation: Kyuma cautious about retouching V-shaped
airstrips plan

ASAHI (Page 2) (Full)
November 21, 2006

Defense Agency Director General Kyuma indicated yesterday that it
would not be realistic to make substantial changes to the
government's plan to lay down a V-shaped pair of airstrips in
Okinawa Prefecture as an alternative to take over the heliport
functions of the US Marine Corps' Futenma AIR Station in the island
prefecture. Meanwhile, Hirokazu Nakaima, who won Okinawa's recent
gubernatorial election, has said he cannot agree to the current
relocation plan. Kyuma, however, raised a question about the Okinawa
prefectural government's stance. "I wonder what plan (the Okinawa
prefectural government has)," Kyuma said to an Asahi Shimbun
reporter. "Even if the prefectural government agrees (to a retouched
plan),environmental groups and others may oppose it, so we may not
be able to go ahead with that plan. We must be careful about whether
it's feasible," he added.

Administrative Vice Foreign Minister Shotaro Yachi has also
indicated that it would be difficult to reopen negotiations with the
US government about Futenma relocation. "This is not a matter we
intend to change in the future," Yachi told a press conference
yesterday.

Nakaima will visit Tokyo this month to meet with Kyuma and other
government officials and ruling party executives. The government has
not held talks with Okinawa's prefectural and municipal governments
since August, so Nakaima will exchange views with Kyuma to resume
talks within the year. The Defense Agency wants to hold informal
talks with the Okinawa prefectural government before Dec. 10 when
Nakaima is set to become governor.

The government initially intended to map out a new airfield
construction plan in late October. The Defense Agency is expected to
reach an agreement with the US government on it within the year and
will explain it to Nakaima for his understanding.

10) Defense chief to discuss Futenma relocation issue with Okinawa:
"Like the governor, I also want to see progress on relocation

TOKYO SHIMBUN (Page 2) (Full)
November 21, 2006

Defense Agency Director General Fumio Kyuma yesterday gave an
interview to Tokyo Shimbun, in which he revealed that his agency

TOKYO 00006638 007 OF 012


would hold pre-consultations on the relocation of the US Marine
Corps AIR Station Futenma late this month as the ruling parties'
backed candidate Hirokazu Nakaima won Sunday's gubernatorial
election.

Upon revealing his intention to resume discussions between the
central government and relevant municipalities in Okinawa on the
Futenma issue next month, Kyuma stressed the need for
pre-consultations, stating:

"Soon after (Dec. 11, the new governor's first day of work at the
prefectural government, both the central and prefectural
governments) start the work of compiling the budgets for next fiscal
year. During that period, we should negotiate behind closed doors."

Asked about the fact that Nakaima has opposed the central
government's Futenma relocation plan, Kyuma responded: "Mr. Nakaima
has strong hopes for progress on (relocation). We have the same
view."

11) Government aims to resume negotiations on Futenma relocation
issue next month

YOMIURI (Page 2) (Excerpts)
November 21, 2006

Following the victory of ruling coalition-backed candidate Hirokazu
Nakaima in Sunday's Okinawa gubernatorial election, the government
yesterday began coordination to steadily implement its plan to
relocate the US Marine Corps AIR Station Futenma (in Ginowan City)
to the coastline of Camp Schwab (in Nago City). In order to push
forward with full-fledged consultations, the government plans to
hold a second meeting in December with the Okinawa prefecture and
four relevant municipalities. No meeting has been held since
August.

Chief Cabinet Secretary Yasuhisa Shiozaki called Administrative Vice
Defense Minister Takemasa Moriya and Cabinet Office Deputy Director
General (for Okinawa affairs) Munetaka Takeda in the Prime
Minister's Official Residence (Kantei) and ordered them to quickly
pave the way for consultations with Okinawa on Dec. 10 when Nakaima
assumes the governorship or later. The consultations will focus on
the formulation of a concrete construction plan for the V-shaped
runway plan in Camp Schwab, as well as on coordination on national
funding the prefecture gets for promotion measures.

Shiozaki revealed at a press conference yesterday that the
government would reflect Okinawa's views in compiling at the end of
this year a state budget for next fiscal year. He stated: "Since the
government will compile in December the budget for next fiscal year,
I want to closely communicate with Mr. Nakaima." He repeatedly said,
"I want to discuss the matter in a polite manner," implying
consideration to Okinawa. Nakaima will exchange views with the heads
of relevant municipalities, including the mayor of Nago City, this
week. He plans to meet next week in Tokyo with Prime Minister Shinzo
Abe and cabinet ministers concerned.

Nakaima took a flexible stance toward the replacement facility plan,
though calling for changes. He told reporters, "Even though there
are differences the government's plan and our scenario, we should
push ahead the plan if such leads to reducing the excessive burden
on Okinawa." He is at odds with the government on details.

TOKYO 00006638 008 OF 012



12) Futenma relocation: Gov't mulling local development measures

SANKEI (Page 5) (Abridged)
November 21, 2006

Now that Hirokazu Nakaima, backed by the ruling coalition of the
Liberal Democratic Party and the New Komeito, has won Okinawa
Prefecture's gubernatorial election, the government yesterday set
about its full-fledged study of economic development measures for
Okinawa's base-hosting localities in an aim to accelerate the issue
of relocating the US Marine Corps' Futenma AIR Station in Ginowan
City. The government will hold a meeting of its consultative body
with Okinawa's prefectural and municipal governments in mid-December
to talk about the planned relocation of Futenma airfield. The
government wants to have Okinawa's local views of economic
development reflected in its budget for fiscal 2007.

In addition, the government will also present a US FORCE realignment
promotion bill to the Diet in its ordinary session next year,
incorporating a new subsidization plan to fund local economic
development according to the progress of Futenma relocation.

Chief Cabinet Secretary Yasuhisa Shiozaki yesterday called in
Defense Agency Administrative Deputy Director General Takemasa
Moriya to the prime minister's office and directed him to accelerate
preparations for talks with Okinawa. "The important thing is that
revitalizing Okinawa's local economy is a matter of primary concern
to Okinawa Prefecture's population," Shiozaki told a press
conference later in the day. "I hope that we will be able to hold
sincere talks about issues regarding Japan's national security as a
whole and about measures to alleviate Okinawa's base-hosting
burden," the government's top spokesman added.

Nakaima reiterated yesterday that he would conditionally accept the
proposed relocation of Futenma airfield within Okinawa Prefecture.
"If the government's plan differs from our idea or scenario, but if
the government will make efforts to alleviate Okinawa's overly heavy
burden of hosting US military bases, then I hope that we will be
able to make headway," Nakaima said.

The Defense Agency will present a package of local economic
development measures in a consultative meeting and will seek
Nakaima's understanding on the government's plan to build a V-shaped
pair of airstrips that Governor Inamine has opposed.

13) Government eyes submission of US FORCE realignment bills to
regular Diet session next year, taking Nakaima victory in Okinawa
gubernatorial election as good chance

MAINICHI (Page 2) (Full)
November 21, 2006

The government yesterday started discussing the possibility of
submitting bills related to the realignment of US forces in Japan to
the ordinary Diet session next year. Officials take the victory of
Hirokazu Nakaima in the gubernatorial election on Nov. 19 as a good
chance to push ahead with the agenda, seeing Nakaima indicated
yesterday a flexible stance toward the government's plan to relocate
the US Marine Corp's Futenma AIR Station to a coastal area of Camp
Schwab. The government intends to resume negotiations at the Council
on Futenma Relocation with Okinawa and other local governments

TOKYO 00006638 009 OF 012


involved in the plan possibly in mid-December. Whether sufficient
economic incentives will be included in the bills is likely to be
the key in an effort to sway the local communities into endorsing
the plan.

During the election campaign, Nakaima had expressed opposition to
the government's Futenma relocation plan. But he indicated a
flexible stance toward the plan yesterday, saying before reporters
in Okinawa, "Even if the plan is slightly different from our
scenario, we should move ahead with it as long as the plan will lead
to reducing our burden."

In a press conference yesterday, Chief Cabinet Secretary Yasuhisa
Shiozaki stressed the government's willingness to forge ahead with
negotiations.

The government has worked out two related bills: One pertaining to
grounds for Japan to foot the bill for relocating US Marines from
Okinawa to Guam; and another designed to provide local communities
with state subsidies in accordance with the state of progress in
construction work, with atomic power plant projects as a model.

The government plans to offer subsidies to Okinawa, as well as to
communities that will be pressed with a heavier base burden as a
result of US FORCE realignment. The Defense Agency and the Finance
Ministry have already started coordination to submit the bills to
the regular Diet session.

The Council on Futenma Relocation is composed of the central
government and such relevant local governments as Okinawa and Nago
City. A decision was made in a cabinet meeting this May to set up
the panel, and the panel held its first meeting in August. But since
then, no session has been held, given the gubernatorial election.

In the planned session of the council, the government is willing to
discuss these three themes: (1) a specific construction plan; (2)
measures to remove risks and protect the environment; and (3) local
economic incentives. The government anticipates that even if
negotiations face difficulty over the coastal plan, dialogue will be
continued on economic stimulus measures.

According to the government's plan, the transfer of Futenma is
completed in eight years, with three years for assessing the
environmental impact and five years for construction work, and the
government aims to complete the project by 2014. To attain this
goal, it is necessary to start the environment assessment next year.
The government hopes to obtain understanding toward its coastal plan
at an early date by preparing subsidies as the "carrot."

14) Nakaima collected more votes than Itokazu in base towns like
Ginowan and Kadena

YOMIURI (Page 4) (Excerpts)
November 21, 2006

In the Nov. 19 Okinawa gubernatorial race, Hirokazu Nakaima backed
by the ruling coalition defeated Keiko Itokazu backed by the
opposition bloc. In the race, votes for Nakaima outnumbered those
for Itokazu in 31 of the 41 municipalities in the prefecture.
Included in them were Ginowan, home to Futenma AIR Station, Kadena,
home to Kadena AIR Base, and many other municipalities bearing heavy
burdens for US bases.

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In the 2004 Upper House election in which Itokazu won a seat, votes
for her outnumbered those for the LDP candidate in the great
majority of those municipalities. Experts think Itokazu's anti-base
message did not resonate in those municipalities this time.

A conservative Minshuto (Democratic Party of Japan) member took the
following view about Itokazu's campaign pledge to immediately close
down Futenma AIR Station to move it out of Japan: "The unfeasible
campaign pledge did not collect votes. The conventional anti-base
message was rejected in Okinawa, where reformist views run deep."

15) 10% of eligible voters cast ballots before Nov. 19 Okinawa
gubernatorial election; 70% of those votes went to Nakaima

YOMIURI (Page 4) (Full)
November 21, 2006

In the Nov. 19 Okinawa gubernatorial election, 110,606 people, or
10.5% of the total eligible voters, cast ballots before election
day. In other words, one in every six actual voters went to the
polling stations before Nov. 19. Some experts ascribe this
phenomenon to calls for early votes by the Liberal Democratic Party
and the New Komeito, which backed the winner Hirokazu Nakaima.

The previous 2002 gubernatorial election marked a little over 50,000
absentee votes. The number of absentee votes doubled due in part to
the simplified advance ballot system.

The Nakaima camp took a strategy of encouraging solid supporters to
go to the polls before Nov. 19 in order to focus on less
enthusiastic municipalities. A senior LDP member took this view: "I
think 70% of the advance votes went to Nakaima. The votes on Nov. 19
might have been even between Nakaima and Itokazu."

16) Opposition bloc softens stance on Diet following defeat in
Okinawa race; Ozawa's approach under fire

YOMIURI (Page 4) (Excerpts)
November 21, 2006

The Diet moved toward the point of normalcy yesterday following the
Okinawa gubernatorial race, in which the ruling and opposition camps
clashed head on. Defeated in the race, the opposition has begun
showing some flexibility. The Liberal Democratic Party has also
begun undertaking full-fledged coordination for the question of
reinstating the so-called postal rebels, which has been frozen
during the Okinawa election campaign.

Minshuto (Democratic Party of Japan),the Japanese Communist Party,
the Social Democratic Party, and the People's New Party decided in
yesterday's Diet chiefs' meetings that they would: (1) comply with
the ruling bloc's request for a Diet chiefs' meeting on Nov. 21; (2)
demand the government and the ruling coalition put an end to the
town meeting fake question issue and the compulsory school
curriculum requirements evasion problem as prerequisites for their
return to Diet deliberations.

Minshuto Diet Affairs Committee Chairman Yoshiaki Takagi said in a
press conference: "We are not happy about boycotting deliberations.
We, too, are hoping for talks with the ruling bloc (to break the
impasse in the current situation)." The party had conditioned its

TOKYO 00006638 011 OF 012


return to Diet deliberations on a remand of the basic education law
revision bill to the Lower House. But in yesterday's press meeting,
Takagi said, "If the conditions are met for advancing Diet
deliberations, we will have to withdraw (our demand for the bill's
pass-back)." Minshuto's posture was visibly flexible.

The ruling bloc had planned to begin Upper House deliberations on
Nov. 21 independently without the opposition parties. But it has
changed the plan in deference to the opposition. "It's not wise to
drive the opposition bloc into a tight corner," a ruling party
member said with confidence.

The softened stance of the opposition bloc is mainly ascribable to
its defeat in the Okinawa gubernatorial race that robbed it of
momentum. One opposition member even took this view: "Boycotting
committee sessions had a negative impact on our election strategy.
We should quickly return to Diet sessions in order to question the
government and the ruling coalition there."

The JCP has been dismissive of boycotting Diet sessions all along.
"If this situation persists, the JCP might return to committee
sessions independently, causing discord in the opposition bloc," an
opposition lawmaker noted.

Some Minshuto members have begun questioning President Ichiro
Ozawa's responsibility for leading the boycott strategy.

A mid-level member not close to Ozawa said yesterday: "Nowadays,
boycotting sessions is out of line with public opinion. It was
inappropriate to link the Okinawa race to Diet affairs."

17) Diet to return to normal possibly tomorrow, with opposition
parties looking for ways to rejoin deliberations in wake of defeat
in Okinawa gubernatorial race

SANKEI (Page 5) (Excerpts)
November 21, 2006

Four opposition parties that have boycotted deliberations in both
chambers of the Diet on the bill amending the Basic Education Law,
following their backed-candidate's defeat in the Okinawa
gubernatorial election, began looking for ways to return in earnest
to the deliberations as a source concerned with Diet affairs of the
Democratic Party of Japan (DPJ or Minshuto) stated, "Now is the time
to do so." Minshuto President Ichiro Ozawa, as well, late yesterday
met with Secretary General Yukio Hatoyama and other party members
and essentially allowed the party to rejoin the deliberations. The
Diet is expected to return to normalcy as early as tomorrow after
talks today between the chairmen of both the ruling and opposition
parties' Diet Affairs Committees.

Four opposition parties -- Minshuto, the Japanese Communist Party
(JCP),the Social Democratic Party (SDP),and the People's New Party
-- yesterday held a meeting of the chairmen of their Diet Affairs
Committees. In the meeting, they decided to respond to talks with
the ruling bloc's Diet affairs committee chairmen. On the other
hand, the ruling parties, heeding the opposition bloc's now softened
attitude, yesterday delayed the start of the deliberations at the
Upper House Special Committee on the Basic Education Law.

As a condition of returning to the deliberations, Minshuto called on
the ruling bloc to have intensive deliberations at the budget

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committee and other committees on such problems as school bullying,
the failure of schools to teach compulsory subjects, and
"bureaucrats-prearranged questions" for the government's town-hall
meetings. The ruling camp responded: "It would be fine to have
deliberations at every committee." Minshuto is now showing a more
flexible stance to this response, with an opposition senior Diet
Affairs Committee member saying, "We don't have to stick to the
formalities." If intensive deliberations at the Lower House
Committee on Education, for instance, is ensured, the opposition
parties may return to the deliberations.

SCHIEFFER

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